Kodak’s latest monthly statement of operations reported a US$48.1 million ($45.9 million) operating loss in October before interest, tax and reorganisation charges. A cashflow forecast filed on 12 October predicted a loss of US$20 million.
The forecast also predicted a US$8 million loss in November and a US$9 million profit in December.
An Australian spokesperson told ProPrint the monthly operating reports “are not intended to provide an overall view of Kodak’s financial performance”.
“Among other things, the [report] only reflects the US corporate entities that filed for Chapter 11 [bankruptcy]. These entities are responsible for corporate costs, including the significant Chapter 11 reorganisation costs, corporate administrative costs and R&D costs.”
The spokesperson also said the firm’s cash position “is adequate to meet operating needs” and that it is “in compliance with the financial terms of its debtor-in-possession financing”.
[Related: Kodak Australia ‘profitable’]
Meanwhile, Kodak said its lenders had cast a “vote of confidence in the future of our company” after boosting its US$793 million interim and exit finance facility by US$37 million and establishing “improved” terms for repayment.
However, the company’s court filing revealed that it was having to pay double-digit interest rates on the facility, which includes US$455 million in new term loans and US$375 million in term portions issued to senior creditors.
This finance is contingent on Kodak’s sale of its trove of digital imaging patents for at least US$500 million.
The local spokesperson told ProPrint: “With a number of achievements in recent weeks, including the recent agreement on US$830 million in interim and exit financing announced, the company has built momentum, solidifying the path to emergence.”
Kodak chairman Antonio Perez said in a statement: “The improved financing commitment provides a longer maturity, lower fees and pricing, and greater liquidity than our previously announced commitment.”
This article originally appeared here and here at printweek.com
Comment below to have your say on this story.
If you have a news story or tip-off, get in touch at editorial@sprinter.com.au.
Sign up to the Sprinter newsletter